Austin’s median home prices have increased and it has increased in the five counties in the surrounding Austin area as well. We all know how popular and demanding the Austin real estate market is right now, but now it’s spreading. According to the new statistics released by the Austin Board of REALTORS®, Austin and the five counties in the Austin metro have seen an extraordinary increase in home prices.
Median Home Prices by County
Here’s the county breakdown for median home price increased:
- Travis County increased by 41% to $550,000
- Williamson County increased by 50% to $435,000
- Hays County increased by 42.5% to $380,000
- Bastrop County increased by 24% to $321,250
- Caldwell County increased by 26.9% to $239,000
Austin’s population increase can partly explain the home price increase. Here’s the population growth breakdown by county:
- Travis County increased by 24.4% to 1,273,954
- Williamson County increased by 39.8% to 590,551
- Hays County increased by 46.5% to 230,191
- Bastrop County increased by 19.5% to 88,723
- Caldwell County increased by 14.7% to 43,664.
The reason for the population increase is due to jow growth and relocations. This affects locals as they have to look further and in the other five counties, especially when recent transplants move to Texas and can easily afford the higher home prices.
The ABOR data revealed that there’s been a $100,000 increase in median home sales prices in Austin in six months! An economist with the Real Estate Center at Texas A&M University, Jim Gaines predicts the market will be intense the rest of the year and maybe into the first quarter of the following year.
The problem is Austin’s lack of inventory, which creates competition. A balanced market, where supply meets demand, has four to six months of inventory. According to the Austin Board of REALTORS® May statistics, the Austin metro area has less than one month of housing inventory, and it’s been like that for most of the year.
Gaines predicts Austin will have another year to 18 months of increased home prices. Year over year appreciation has jumped up by 40%! Another economist says we can predict a drop off in these high prices once the number of days on the market increases or a more significant number of homes sell at or below the selling price.
If you need help finding an affordable home in Austin, contact Prism Realty today! We’re here to offer our expertise and help you achieve your real estate goals.